The reasons behind the increasing house prices in the UK

The housing market in the UK is continuing to rise, and it is showing no signs of slowing down. The average property price is more than £250,000 across the country. Ahmed Nashaat notes that the average property price in London is more than double that of the nation.

While those on the market to sell their properties are likely cheering for the boom, buyers and renters have been finding it more difficult than ever to look for a flat. In fact, many people have queued overnight to bid on recently built homes. Some have even submitted offers on houses that they have not seen personally.

In today's post, Ahmed Nashaat of London explores the reasons behind the increasing house prices in the country.

The law of supply and demand is clearly in play here. Over the past years, there has been a growing demand for houses, and the supply cannot keep up. As a result, fewer homeowners have been entering the market than in the past. According to property portal Rightmove, the average number of available homes being sold by each agent has dropped from July 2020.

The COVID-19 pandemic has also affected the rising housing market. Currently, there are low interest rates, which have led to an additional surge in demand for houses, thereby increasing property values. The mounting desire to work from home has also led employees to invest more in bigger houses than flats.

Like Ahmed Nashaat of London, residents should monitor the situation, especially since experts are cautioning that the long-term outlook for the housing market is still uncertain.